The Depository Trust Company, established in 1973, , was created to reduce costs and provide clearing and settlement efficiencies by immobilizing securities and making "[[Book-entry]]" changes to ownership of the [[Securities]].
DTC brings efficiency to the securities industry by retaining [[Custody]] of more than 1.4 million active securities issues valued at US $87.1 trillion, including securities issued in the US and more than 131 countries and territories.
DTC provides securities movements for [[NSCC]]'s net settlements, and settlement for institutional trades (which typically involve money and securities transfers between custodian banks and broker/dealers), as well as money market instruments.
DTC's core services include:
- Settlement Services
- Corporate Actions Processing
- Securities Processing
- Issuer Services
- Underwriting Services
- Global Tax Services
https://www.dtcc.com/about/businesses-and-subsidiaries/dtc
If an [[Issuer]] is not DTC eligible, then its [[shares]] cannot be transferred between brokerage accounts electronically, which basically means its shares cannot be traded easily. Major Exchanges such as [[NYSE]] and [[NASDAQ]] require DTC eligibility. https://stctransfer.com/dtc-eligibility-information/#:~:text=If%20an%20issuer%20is%20not,available%20on%20DTC's%20web%20site